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Alexus [3.1K]
3 years ago
6

Ace Inc. has 10,000 shares of 5%, $100 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outs

tanding at December 31, 2014. What is the annual dividend on the preferred stock?a. $50 per shareb. $50,000 in totalc. $5,000 in totald. $0.50 per share
Business
1 answer:
REY [17]3 years ago
5 0

Answer:

b. $50,000 in total

Explanation:

Preference shareholders: The preference shareholders are that shareholders who receive the divided before equity shareholders

The computation of the annual dividend is shown below:

= Number of shares × price per share × rate

= 10,000 shares × $100 × 5%

= $50,000

The annual dividend for preference shareholders will be computed by applying the number of shares, the price per share, and the rate.

You might be interested in
Identify and explain the dimensions of Iqra University’s culture, ranging from high level to low level for each dimension of cul
Sloan [31]

The correct answer to this open question is the following,

The dimensions of Iqra University’s culture are the following.

Iqra University is a private university in Pakistan, and one of the most prominent colleges in the Pakistan education system.

The most important dimension of its culture is to provide high-quality education to its students. This university tries to match the graduates with the always-changing market necessities in Pakistan.

Another important aspect is that school teachers instill critical thinking abilities in each of their students because as part of its culture, they want to help students think wisely in a complicated world in order to choose the best decision and action.

One key aspect of its culture is ethics. The University put emphasis on moral values as a way to make good decisions, not only in business but in life.

7 0
3 years ago
Bikes and More just announced its next annual dividend will be $2.42 a share and all future dividends will increase by 2.5 perce
liq [111]

Answer:

13.5%

Explanation:

market rate of return can be calculated with below expresion

Current Price = D / (K - g)

Where

Current Price = $22 a share

D= Dividend in coming Year

dividend = $2.42

K= rate of return

g =growth rate

22 = 2.42 / (K - 0.025)

Cross multiply we have

22(K - 0.025)= 2.42

Open the bracket we have

22k- 0.55=2.42

2.42 + 0.55= 22k

K = 2.97 / 22

= 0.135

= 0.135×100%

= 13.5%

Therefore, the market rate of return if this stock is currently selling for $22 a share is 13.5

4 0
3 years ago
You are planning to purchase the stock of Ted's Sheds Inc. and you expect it to pay a dividend of $3 in 1 year, $4.25 in 2 years
Vika [28.1K]

Answer:

$81.52

Explanation:

To determine the price of the stock, one has to calculate the present value of the stock.

The present value is the sum of discounted cash flows.

Present value can be calculated using a financial calculator

Cash flow in year 1 = $3

Cash flow in year 2 = $4.25

Cash flow for year 3 = $100 + $6 = $106

I = 12 %

Present value = $81.52

The price one would pay for the stock today is $81.52

To find the PV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

6 0
3 years ago
The day-to-day supervision of construction is the responsibility of the____________.
wlad13 [49]

Answer:

The correct word for the blank space is: general contractor.

Explanation:

A general contractor is in charge of the everyday supervision of the activities within a construction. The general contractor achieves this by organizing all the employees within the construction, providing them with all the necessary tools and legal permits to perform their duties. General contractors are also in charge of the communication of information to all relevant individuals involved in the construction.

3 0
3 years ago
A florist who has been in business for several years finds himself facing several problems simultaneously. First, he has a large
IRISSAK [1]
Problems mentioned in order of priority:

1. Refrigerator making noise - I would make this a priority since this is the easiest to solve and it will prevent future and bigger problem. Scheduling for an appointment for a technician is as easy as a phone call and this is the first thing that I would do. Choose the soonest possible appointment to have the refrigerator checked and ensure it's working quality.

2. Large order for wedding in 3 days and tulips for bouquet is unavailable due to frost - This is the second problem that I will try to resolve since it is time sensitive and would help with the shops sales and reputation. I would check for tulips alternative first before calling the customer. Once I have a list of good alternatives for the tulips, a phone call should be in place to inform them of the situation. Ask or suggest an acceptable alternative to tulips and settle the number of orders. Ensure that the orders are feasible to be delivered fresh on the exact date and time that they need it to and negotiate if necessary if they have a request that cannot be provided in time.

3. Employee needs the next 6 weeks off for a surgery happening in 2 weeks time. This is not a priority since the large order is happening in 3 days, which means that the top employee would still be available for work. Documentations for the leave should be processed and approved as it is a medical leave provided that necessary proofs or medical certificates are given. If there is an expected peak season during the time that the top employee would be on leave, a seasonal worker can be hired to help with man power. But if there is no expected increase or bulk orders in the coming weeks, no change is necessary. 

4. Lastly, the rumors that the building will be sold. - This is the least important and least to be prioritized as  it is only a rumor. It may affect the business if it happens so once the large order is settled, there is no harm in trying to verify this rumor. I would check it with the building administration first to see if they can confirm what's going to happen with the building. If it is confirmed to be sold to a new owner with a possibility of rent increase, it is the time to consider planning for alternatives. An example is to scout for other possible store locations, to come up with accounting reviews to see how an increase in the rent would affect the total profit of the store or come up with plans to increase the profit if needed. But, until any of the said rumor is proven to be true, there is no necessary action that needs to be taken.
4 0
4 years ago
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